Social Responsibility and Environment


SOCIAL PROJECTS

Sunkar through its subsidiary Temir-Service LLP with approval of regional Governmental authorities, finances social projects in the Aktobe region.

In April 2008, the Temir Service provided two brand new specially equipped ambulance cars for the needs of a central regional hospital of Mugalzharskiy Region (Aktobe Oblast) and in October 2008 the Company financed repair works of the hospital’s service equipment.

Mid-2008 Temir Service financed preparations for the oncoming heating season by paying the utility bills and equipment necessary for heating and water-supply systems of regional social infrastructure.

Support for the regional children development institutions is one of the major priorities of Temir Service. In October 2008, following negotiations with the local education authorities, Temir Service supplied and installed playgrounds in kindergartens “Arman” and “Zhuldyz” and an orphans’ home “Umit’ in Aktobe city. Temir Service also purchased heating equipment for a newly opened kindergarten in Mugalzharskiy region of Aktobe Oblast

In 2008 payments as social obligations of the Temir Service into the Aktobe region totaled USD221,345.

It is important to note that social support by Temir Service is highly appreciated by the public and local authorities of Aktobe region. In 2009 the mayor of Aktobe city sent a letter of gratitude to Temir Service for its care and attention to the matters of childrens' welfare in the region. The head of local authorities of Mugalzharskiy district of Aktobe region expressed his deep appreciation to Temir Service for its support of health institutions and the other social objects of Mugalzharskiy district in a gratitude letter of December 2008. The social contribution by Temir Service is also appreciated by the local media.
 

Date
Description of activity
Amount in USD
March 2008
Sunkar buys 2 ambulance cars for Kandagach town hospital
$28 093
August-October 2008
 Sunkar supports water distribution and heating infrastructure of local community of Kandagach
$ 163 333
October 2008
Sunkar installs 3 playgrounds at kindergartens and orphans home in Aktobe
$ 25 375
October 2008
Repair works of a lift in Kandagash town hospital
$ 3 333
Nov 2008
Other
$ 1 210
 
Total
$ 221 345

ENVIRONMENT
 
Under the Kazakh legislature, Temir Service is liable for any damage to the environment of the contract area. To avoid any negative influence of subsoil-use operations over the contract area, Temir Service follows a set of measures set  by the competent body based on the Kazakh and international environmental standards and requirements. Environmental safety is one of our key principles as to the technological process and mining, goods supply and contractors operations.
 
Temir Service commissioned a reputable Kazakh contractor to prepare a report on estimation of influence of subsoil-use operations over the environment of contract area based on the technical project documentation (the “Report”).
 
The Report contains estimations of the effect to the environment caused by activities in the contract area: fixed assets such as mining plant, camp, fuelling station, water well, garage, repair station and machinery and vehicles.
 
The Report covers estimations of influence of the said fixed and movable properties over the air, water resources, geological sphere, soil-vegetable flora and fauna of the contract area and contains set of measures and recommendations to be used by Temir Service in the process of operations to possibly avoid or minimize any environment pollution. The Report also contains clear recommendations on regeneration and mine reclamation on a site.
 
Under the Report, the ecological influence of activities at the Chilisai mine deposit, including all production objects and infrastructure is estimated as satisfactory, local, within the framework of ecological standards and not entailing any irreversible consequences to the flora and fauna of the contract area.
 
One of the positive features of the Chilisai project with relation to ecology of the contract area is minimization of area of dislocated top-soil. Upon completion of earth reclamation quarried plots shall be returned for further agricultural exploration.
 
Within the requirements of the Ecology laws Temir Service has produced a system of internal ecological monitoring with the purpose of :
 
§         Constant estimation of the effect caused by operations on the environment;
§         Control over the nature and intensity of ecological processes;
§         Analysis and further reporting on environmentally dangerous processes on site.
 
Production ecological monitoring of the Company includes three main directions providing control over environmental protection and preservation:
 
§              Operational monitoring (monitoring of production process);
§              Monitoring of emissions;
§              Monitoring over influence.
 
Temir Service maintains continuous operational monitoring over technological processes which may cause environment pollution. Monitoring of emissions and environmental impact covers the air, surface and underground water, soil, radiation, flora and fauna and is realised through constant sampling and analysis of air, water and soil samples and the establishment of a system of monitoring stations. 
 
One of the main objectives in environment protection is to avoid any pollution which may be caused by machinery and equipment used in the production process. In this regard Temir Service purchases and uses machinery and equipment which are in full compliance with local and international ecological quality standards. All equipment used at Chilisai mining deposit is duly certified and admitted for use in Kazakhstan by competent authorities.
 
To prevent environmental pollution Temir Service has introduced the set of measures on timely and prompt removal of industrial and solid waste for further recycling.